Noncompete Agreement in Washington

Can You Sue Over a Noncompete Agreement in Washington? What HB 1155 Means for Employees and Contractors

On March 23, 2026, Bob Ferguson signed HB 1155 into law, dramatically changing the legal landscape for noncompete agreements in Washington State.

If you are an employee or independent contractor bound by a noncompete—or facing threats of enforcement—you may now have the right to challenge that agreement and, in some cases, recover damages.

This article explains when noncompetes are enforceable, when you can sue, and what your rights are under Washington’s new law.


Are Noncompete Agreements Still Enforceable in Washington?

Short answer: not for much longer.

Under HB 1155:

  • Most noncompete agreements will become void and unenforceable on June 30, 2027
  • Employers are prohibited from entering into or attempting to enforce new noncompete agreements
  • The law applies to both employees and independent contractors

Even before that date, Washington courts already scrutinize noncompetes closely. HB 1155 goes further by effectively eliminating them in most working relationships.


Can You Sue Your Employer Over a Noncompete?

Yes. Under HB 1155, workers may bring claims against employers who violate the statute.

You may have a claim if an employer:

  • Attempts to enforce a noncompete after June 30, 2027
  • Threatens enforcement of a noncompete
  • Requires you to sign an unlawful noncompete
  • Represents that you are bound by a noncompete when you are not

If a court or arbitrator finds a violation, you may recover:

  • Actual damages, or
  • A statutory penalty of $5,000, whichever is greater

You may also recover attorneys’ fees, expenses, and costs, which can make it financially viable to pursue a claim.


What If You Are Already in a Noncompete Dispute?

Timing matters.

  • If your case is filed before June 30, 2027, it will be governed by prior Washington law
  • If your employer tries to enforce the agreement after that date, the new law applies

This creates a transition period where strategy is critical. In some cases, it may make sense to challenge enforceability now rather than wait.


Do Employers Have to Notify You?

Yes. By October 1, 2027, employers must make reasonable efforts to provide written notice to:

  • Current employees and contractors, and
  • Former employees and contractors

…whose noncompete agreements are still within their stated duration, informing them that those agreements are void and unenforceable.

Failure to comply with this requirement may create additional legal exposure for employers.


What About Nonsolicitation Clauses?

Employers may still use nonsolicitation agreements, but they are limited.

A valid nonsolicitation clause may restrict a former worker from:

  • Soliciting employees to leave, or
  • Soliciting current or prospective customers, patients, or clients

However, these restrictions apply only if:

  • You developed a direct relationship with those individuals during your work; and
  • The restriction lasts no longer than 18 months after termination

Importantly, a nonsolicitation agreement cannot prevent you from accepting business. If it does, it may be unenforceable.


Can Employers Still Protect Trade Secrets?

Yes. HB 1155 does not change Washington’s Washington Uniform Trade Secrets Act.

Employers may still enforce:

  • Confidentiality agreements
  • Trade secret protections
  • Agreements restricting use of proprietary information

If your former employer claims you violated these protections, that is a separate legal issue from a noncompete.


Are There Any Valid Noncompete Agreements Left?

There are limited exceptions where noncompetes may still be enforceable:

  • Sale of a business (if the seller owns at least 1%)
  • Franchise agreements
  • Certain training repayment agreements that meet strict statutory requirements

Outside of these narrow categories, most noncompetes will not be enforceable after June 30, 2027.


When Should You Talk to a Lawyer?

You should consider speaking with counsel if:

  • You are being threatened with a noncompete
  • You lost a job opportunity because of a noncompete
  • Your employer is trying to enforce a restrictive covenant
  • You want to challenge an existing agreement
  • You are unsure whether your agreement is lawful

Early advice can often prevent costly mistakes or unnecessary restrictions on your ability to work.


Speak With Counsel

If you have questions about your rights or believe an employer is improperly enforcing a noncompete, contact:

James P. Ware

Litigation Partner, Gleam Law

james@gleamlaw.com

James P. Ware is an AV™-rated litigation partner with over 20 years of experience representing high value employees, executives, and businesses in complex disputes throughout Washington State.

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